Specifications include, but are not limited to: 1. Financial Audit. The audit will be made in accordance with generally accepted auditing standards and Government Auditing Standards issued by the Comptroller General of the United States. The purpose of the audit is to express an opinion on the financial statements of the Board's agency - internal activity funds and obtain reasonable assurance about whether the financial statements are free of material misstatement. The scope of the audit is to include: A. Compliance with the requirements of the State Board of Education Rule 6A-1.087, Florida Administrative Code. B. Compliance with Florida Statutes. C. Compliance with Financial and Program Cost Accounting and Reporting for Florida Schools (the Red Book), issued by the State of Florida Department of Education. D. Compliance with School Board of Nassau County Policies E. Test of the accounting records and such other auditing procedures as considered by the auditor as necessary in the circumstances. 2. Review of Internal Control Structure. An evaluation is to be made of each school's internal control structure to determine the extent to which selected control environment factors, accounting system methods and records, and policies and procedures promoted and encouraged compliance with controlling laws, administrative rules, and other guidelines; the reliability of financial records; and the safeguarding of assets. 3. Management Letter. The audit report shall include a management letter which shall contain the audit findings which may include the following material items discovered within the scope of the audit: A. Recommendations to improve management, accounting procedures, internal control structure and increase efficiency; B. Violation of laws, rules and regulations, discovered within the scope of the audit; C. Illegal expenditures discovered within the scope of the audit; D. Improper or inadequate accounting procedures; E. Failure to properly record financial transactions; F. Other inaccuracies, irregularities, shortages, and defalcations, if any, discovered by the auditor.